Solved

"Survivorship Bias" Refers to the Fact That

Question 43

Multiple Choice

"Survivorship Bias" refers to the fact that


A) those analysts who manage to become highly visible--e.g., by getting interviews on talk shows--are more likely to survive and thrive in the industry.
B) it is more likely that a company will remain in existence if it has a large bankroll to support it through economic downturns.
C) the investments industry is high-stress, and few investment managers last more than 10 to 15 years.
D) poorer performing mutual funds disappear, so that when average returns are calculated, they are based on the funds that remain, which causes the results to be upward-biased.

Correct Answer:

verifed

Verified

Unlock this answer now
Get Access to more Verified Answers free of charge

Related Questions

Unlock this Answer For Free Now!

View this answer and more for free by performing one of the following actions

qr-code

Scan the QR code to install the App and get 2 free unlocks

upload documents

Unlock quizzes for free by uploading documents